S MITH O RLOFF & A SSOCIATES International Insurance Loss Consultants / Adjusters Representing The...
Transcript of S MITH O RLOFF & A SSOCIATES International Insurance Loss Consultants / Adjusters Representing The...
SMITH ORLOFF & ASSOCIATESInternational Insurance Loss Consultants / Adjusters
Representing The Insured
Present An Executive Briefing
Successfully Surviving A Catastrophic Loss
From An Insurance Standpoint
Presented By
Stanley W. Smith, CPA
1488 Autumn RoadJenkintown, Pennsylvania 19046
Tel: 215-886-1204 Fax: 215-885-0179
196 Arden RoadGulph Mills, Pennsylvania 19428
Tel: 610-526-2213 Fax: 610-526-2218
Overview
Understanding and Making Sure That Insurance Coverage Is Appropriate & Avoid Pitfalls Before The Loss Occurs
• Covered Property
• Limits of Coverage
• Covered Perils
• Policy Conditions / Coverages
The Claim Settlement Process / Maximizing the Settlement
Business Interruption Loss & Extra Expense
• Establishing the Limit of Insurance before the Loss
• Preparing and Presenting the Claim
Covered Property • Building • Contents / Equipment• Stock / Inventory• Business Interruption and Extra Expense
Limits of Coverage
Covered Perils• All Risk vs. Named Peril• Windstorm and Flood• Wind Driven Rain• Earthquake• Collapse
Understanding and Making SureThat Insurance Coverage Is Appropriate
and Avoiding Pitfalls Before The Loss Occurs
Policy Conditions / Coverages• Replacement Cost vs. Actual Cash Value• Holdbacks / Buyouts• Coinsurance • Agreed Value Endorsement• Ordinance / Code Upgrade• Loss of Off-Premises Power & Water• Costs of Architects & Engineers in Reconstruction• Foundations, Walkways, Roads & Landscaping• Blanket Coverage• Consequential Business Interruption• Deductibles For Windstorm & Earthquake• Appraisal Clause
Maximizing The Claim Settlement / Being Proactive
• Must Be Proactive
• Understand The Policy & How It Applies to the Loss
• Use of Experts
• Schedule Meetings With Company Adjusters
– Scope of Loss
– Evaluate Alternatives to Reconstruction
• Seize the Opportunity for Enhancing Capacity / Efficiency
– Participate in Establishment of Reserve
– Request Advances
• Responsibility to Mitigate Further Damages
• Precision in Uncovering Critical Detail
• Be Aware of Diminution of Useful Lives
Maximizing The Claim Settlement / Being Proactive(continued)
• Document the Loss
– Photographs
– Get Your Own Restoration Estimates
– Keep Accurate Cost Records
– Preserve Damaged Articles for Adjuster’s Review
– Preparation of Your Own In-Depth Loss Estimates
– Losses Can Be Settled on an Estimated Basis
• Mitigation of Business Interruption Loss Used As a Leverage
– Efficient Handling of Continuing Expenses
• Use of Extra Expense Coverage
• Negotiating Skills / Negotiating On An Informed Basis
Business Interruption Loss & Extra Expense
• Establishing the Limit of Insurance
– Net Income Plus Continuing Expenses
– Ordinary Payroll Expense Exclusion
– Address Costs to Stay In Business & Mitigate- Extra Expense
• Have a Plan
• Preparing and Presenting the Claim
• Restoration Period